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Labour disputes threaten ‘earthquake’ disruption in US supply chains

Industrial action at Canadian railways and Indian ports risks compounding trade problems ahead of Christmas season

Labour disputes stretching from North America to India are threatening a new wave of disruptions to US supply chains after rail workers in Canada stopped working on Thursday.

Freight groups are warning that the work stoppage at Canada’s two biggest railroad operators could be followed by a strike at ports on the US east coast in the coming weeks, leaving west coast ports overwhelmed in the lead-up to retailers’ peak Christmas season.

The unrest could worsen with promised industrial action at ports across India, at a time when shipping has already been disrupted for months by the Houthi militant group’s attacks on ships in the Red Sea, which have all but closed off a key passage for global trade.

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